Payroll Accounting Adjustments (PAAs) is used to correct the funding of a worker’s salary and fringe benefits after payroll has posted. PAAs help ensure payroll expenses are applied to the correct Worktags, including Grants or other funding sources.
PAAs are commonly needed when:
- Funding was not set up or ready before the payroll deadline
- A worker’s Costing Allocation was not updated
- A Costing Allocation or Default Organization Assignment was keyed incorrectly
- Retroactive payroll corrections impacted the distribution
Refer to the Payroll Accounting Adjustment: Initiation and Submission job aid for step-by-step instructions. The guidance below outlines common pitfalls, best practices, and key considerations for creating or approving PAAs.
PAA Best Practices
Best Practices for Completing a PAA
PAAs Move Salary Only
Fringe Benefits are recalculated automatically after approval and will not appear while entering the PAA.
Over/Underpayments
Non-Grant: Do not submit a PAA until Central Payroll completes the correction. Otherwise, the PAA must be rescinded and re-entered.
Grant: Submit the PAA immediately to remove the incorrect charge from the Grant. The PAA may need to be rescinded and re-entered after Central Payroll corrections are completed.
Federal Work Student (FWS)
FWS funding cannot be added or removed using a PAA. Contact The Federal Work Study Office, sfa-jobs@osu.edu, for questions.
Negative PAAs
Units cannot enter PAAs containing negative amounts (credits). Negative values occur when payroll reversals or overpayments post.
Submit a screenshot of the original entry, full Worktags, and a clear business purpose (e.g., payroll overpayment) to:
- Non-OSP Grants: BF-CTL-PayrollAccounting@osu.edu
- OSP Grants: OSPGrantsAccounting@osu.edu. For PAAs involving OSP grants, first verify the overpayment charged to the Grant has not already been moved to department funds (would offset negative/credit)
One PAA per Pay Period
Workday allows only one in-flight PAA per worker per period to reduce routing conflicts and simplify troubleshooting.
Move Only What is Needed
If only part of the pay period needs correction:
- Remove pay components that are not changing (Vacation, Holiday, etc.)
- Adjust only the Salary pay component if it covers the amount being moved
For example, a worker has payroll expense of:
- $1,000 Salary
- $200 Vacation
- $100 Holiday
A PAA is needed to move $800.
Since the Salary line covers the $800, remove Vacation and Holiday from the Current Journal Lines of the PAA. Only adjust the Salary line to move the necessary portion.
Matching Totals
The Current Journal Line Totals and Proposed Journal Line Totals must match exactly by Position, Pay Component, Retro Period and Budget Date to successfully submit the PAA. The Summary Totals section is an optional tool but helps confirm accuracy.
Example:
- Original: $1,000 Salary → CC12345, FD100, BL1234
- New Funding: $800 → CC12345, FD111, BL1234, AE123456
- Remaining: $200 stays on CC12345, FD100, BL1234
Two Proposed Journal Lines should be entered:
- $800 → CC12345, FD111, BL1234, AE123456
- $200 → CC12345, FD100, BL1234
Best Practices for PAAs Involving OSP Grants
Pay Components Not Allowed on Grants
Vacation payouts, Sick Leave payouts and bonuses may never be charged to a Grant.
ERIK Sponsored Fiscal Operations will reverse any payout or bonus placed on a Grant through a PAA.
OSP Questionnaire Requirements
Required for any PAA involving a Grant Worktag.
- Within 90 days of the pay period end date → answer Questions 1 and 2.
- Over 90 days of the pay period end date → answer Questions 1-4.
Comprehensive responses are critical for timely ERIK Sponsored Fiscal Operations approval and support sponsor compliance.
PAAs Older Than 30 Days
PAAs with OSP Grants that remain in progress for over 30 days are cancelled by ERIK Sponsored Fiscal Operations to allow Effort Certification to run.
- A Workday and Outlook email notification is sent to the initiator and pending approver(s) informing them of the PAA cancellation.
- Use the Payroll Accounting Adjustment Status report to monitor routing and ensure timely approval to avoid cancellation.
Best Practices After Submitting a PAA
- Approve PAAs promptly to avoid lockouts or cancellations.
- A pay period remains locked until all PAAs for that worker and period are fully approved.
- Initiators may cancel an in-flight PAA if corrections are needed.
- The final approval date becomes the Accounting Date reflected in the General Ledger. After final approval, validate the debit and credit lines for the salary and fringe benefit expenses properly reflected in the General Ledger.
- Use the Find Journal Lines – OSU Payroll Detail report in Workday to help validate this information.
- Ledger Accounts and Fringe Benefit rates are automatically calculated by Workday after the PAA is approved. These Worktags are not available for selection when initiating a PAA.
Fringe Benefit Impacts and Date Validations
Fringe Benefit rates are recalculated based on the PAA approval date, not the original pay date. If the Fringe Benefit rates changed since the original Salary and Fringe Benefit expense were incurred, the PAA will use the current rate as of the PAA approval date.
Workday recalculates Fringe Benefits on the entire paycheck, not just on the earnings moved on the PAA.
Date Validation Rules:
- PAAs without an Office of Sponsored Programs (OSP) Grant cannot cross fiscal years
- PAAs with an OSP Grant may cross fiscal years but only up to 12 months back.
- Retro Budget Dates must follow the same restrictions. Retro earnings cannot cross fiscal years unless a Grant Worktag is used.
If a non-Grant PAA attempts to cross fiscal years, Workday will prevent submission. A funds transfer must be processed instead.
Process
*Anything greater than 90 days requires ERIK Sponsored Fiscal Operations approval.
Common Errors and Troubleshooting
| Error Message/Issue | What it Means | How to Fix It |
|---|---|---|
| Proposed and Current Totals Do Not Match | Totals differ by Position, Pay Component, Retro Period or Budget Date | Match all amounts; ensure all lines are included; remove unnecessary pay components |
| Company does not align with Cost Center | Selected Company is not valid for the Cost Center | Update Company/Cost Center to a valid combination |
| PAA already In Progress for pay period | Only one PAA per worker per pay period is allowed | Approve or cancel the In Progress PAA |
| Negative in Current Journal Line | Negative amounts result from retro changes, reversals or overpayment | Remove negative amounts and contact Payroll Accounting or ERIK Sponsored Fiscal Operations |
| Effort Certification is In Progress | PAAs cannot be processed during certification | Submit an Effort Certification Cancellation Request |
| Budget Date not valid for Grant | Budget period is closed or outside allowable Grant dates | Adjust the Budget Date or select appropriate funding |
| Accounting Date cannot cross fiscal years | Non-Grant PAAs cannot cross fiscal year end | Submit a funds transfer instead |
Roles
| Business Role | Business Responsibilities | Security Roles |
|---|---|---|
| Requester | Identifies or is informed by the PI or CCM that a PAA is needed Initiates a PAA Collects and provides the information required to complete the PAA, including responses to the OSP Questionnaire (if applicable) | Payroll Accounting Adjustment Specialist |
| Cost Center Manager | Reviews and approves all PAAs Reviews Additional Information or Comments added by the initiator or other approvers Note: Responses to the OSP Questionnaire are included in the Additional Information section of the PAA Confirms funding source is appropriate Ensures budget availability Verifies that amounts are reasonable and correct earnings are being moved | N/A |
| Principal Investigator (PI) | Review and approves PAAs that involve their Grant Confirms the following:
| N/A |
| ERIK Sponsored Fiscal Operations | Approves PAAs when:
ERIK Sponsored Fiscal Operations reviews focus on:
| N/A |
| Additional Approver(s) | Any approver may add additional routing (e.g, Senior Fiscal Officer, Manager, Manager Liaison) Once added, the additional approver becomes a required step for the PAA to move forward | N/A |
Reports
| Report Name | Description | Process Steps Supported |
|---|---|---|
| Find Journal Lines - OSU Payroll Detail | Provides the most granular reporting on payroll accounting journal lines in the General Ledger. Includes every field in the operational journal line. The report is ran based on Accounting Date and Costing Company. Returns only payroll expense ledger accounts and can also be used for encumbrance review. | View Salary and Fringe Benefit Journal Lines before and after a PAA. |
| Payroll Accounting Adjustments Status | Displays all PAAs and their current routing status in the business process. Helps identify pending approvals, delays, or PAAs that may impact other processes such as Effort Certification. | Track routing and approval status for PAAs. Assist finance teams with proactive monitoring to avoid reporting delays |
Training and Practice Aids
| Resource Type | Resource Name | Resource Description |
|---|---|---|
| Job Aid (ARC) | Payroll Accounting Adjustments (PAA): Overview and Payroll Accounting Basics | Provides a fundamental overview of PAAs and includes links to related PAA job aids |
| Job Aid (ARC) | Payroll Accounting Adjustment (PAA): Initiation and Submission | Provides step-by-step guidance for initiating, completing and submitting PAAs |
| Job Aid (ARC) | Payroll Accounting Adjustment (PAA): Approve and Review Submitted | Provides an overview of the review and approval process of PAAs |
| Job Aid (ARC) | Payroll Accounting Adjustment (PAA): Salary Over the Cap | Explains requirements and steps for completing PAAs involving Salary Over the Cap |
| Job Aid (ARC) | Payroll Accounting Adjustment (PAA): Key Concepts Involving Sponsored Grants | Provides guidance specific to PAAs involving sponsored Grants, including considerations for allowability and compliance |
| Training (BuckeyeLearn) | Payroll Accounting Adjustments in Workday | eLearning course introduces conceptual instruction and procedural guidance for initiating, reviewing, approving, and tracking PAAs. Recommended for new users |
Contacts
For general support, contact your:
- College or department administrative support team
- Service Center support team
- Fiscal Support Team
For questions related to PAAs, please contact payroll accounting or grants accounting:
- Non-grant PAAs: BF-CTL-PayrollAccounting@osu.edu
- PAAs involving a grant: OSPGrantsAccounting@osu.edu
- Federal Work Study (FWS) corrections: Federal Work Study funding cannot be corrected using a PAA. Contact: sfa-jobs@osu.edu.